Oracle Not Needed To See Delphi
FutureAs of this writing the UAW leadership has acknowledged they have a
deal with the wiseguys granted custody of Delphi, and the parts maker’s deadbeat
dad, GM, but haven’t publically announced the details. However, usually reliable
sources have been leaking some of the main features. These include:

* Four of the 21 plants targeted for termination were
saved from shutdown or sale, and another five will be operated by a third party
until they are sold. The remaining dozen or so are gone for good.

* The four thousand workers still retaining some rights
under the old GM agreement will be offered three annual payments of 35,000
dollars to ease the transition to draconian wage cuts. The rest of the workforce
left after earlier buyouts by GM is made up of either temp workers, or those
hired since a 2004 two-tier agreement by the UAW--already making much lower
wages.

* Top wages would be slashed from 27 dollars per hour
to 18.50.

Presumably, the same settlement will be imposed on IUE
represented workers as well. Indeed this is seen as the pattern agreement for
all organized parts makers in the USA.

If the deal is approved by members GM will be relieved
for both long and short term reasons. They have long sought to dump any
responsibility for the new satellite component suppliers, such as the Delphi
spin-off. Both GM proper and Delphi offshored tens of thousands of jobs. After
Delphi became the second biggest private employer in Mexico they declared
bankruptcy for their remaining U.S. operations and brought in slash and burn
specialists to gut jobs, wages, and conditions.

In the short term GM feared a Delphi strike could shut
them down and greatly complicate negotiations with the UAW for new national
agreements with the Big Three. Those talks will formally begin July 23.

The UAW leaders will now be crowing that they saved
many jobs and beat back Delphi’s earlier demands for nine dollar an hour wages.
This is the best that can be hoped for, they will argue. It remains to be seen
whether the ranks at Delphi will be as “pragmatic” as the Solidarity House
leadership.

In any case, it looks to be a short, hot summer in
Detroit.

Relatively Brighter At GE
UE and IUE members at General Electric are also in the process of voting on
tentative national agreements. There appear to be no give-backs. Pensions got a
positive tweaking, general wage increases and a slightly improved COLA formula
should at least keep up with inflation and a twelfth holiday was won. In today’s
dismal bargaining context such modest gains are considered solid victories.

* Auto makers would have to achieve a forty percent
reduction in average fuel consumption of cars and light trucks–within thirteen
years.

* Mandates a seven hundred percent increase in ethanol
and biodiesel production--36 billion gallons a year by 2022. Huge tax breaks and
subsidies–yet to be completely quantified--will be needed for this food to fuel
conversion. In the face of this mandate oil companies are refusing to invest in
gasoline refinery capacity. Of course, in many important respects burning
“renewable” ethanol is even more damaging to the environment than gasoline. It’s
only value–other than windfall profits for AgriBusiness--is as a hedge against
oil shortages, not as a genuine alternative fuel.

* Makes it a federal crime to charge an “unconscionably
excessive” price for oil products. Sounds good but no guidelines delineating
unconscionable from good business sense are spelled out.

* Sets new energy-efficiency standards for appliances
and lighting. Requires the federal government to speed up its adoption of more
efficient lighting in public buildings.

* Creates grants, loan guarantees and other assistance
to promote research into fuel-efficient vehicles. It would be unfair to expect
vehicle manufacturers to foot the bill for the future of their industry.

* Promotes large-scale demonstrations of technologies
that capture carbon dioxide from coal-burning power plants and inject it into
the ground. Most scientists think significant success in this area is as likely
as past attempts to transform lead in to gold.

A couple of things missing from the bill:

* The promised restoration of thirty billion dollars in
taxes on the oil companies that were given away by the Republican congress.

* The widely heralded requirement that 15 percent of
what power plants generate come from renewable energy sources also received
short shrift.

Switching to CFL and LED lighting in public buildings
is a good thing, though you wouldn’t think that would require an act of
congress. The rest of the bill is good for the energy corporations and bad news
for workers and the environment. As negotiations begin with the House and White
House the evolving legislation will likely become worse.

A working class energy policy will be a major topic at
the Labor & Sustainability Conference coming up in Kansas City October 5-6.

Reprieve for ILSBeating a tactical retreat in the face of widespread outrage,
University of Missouri Kansas City management has dropped, for now, publically
announced plans to terminate the Institute for Labor Studies. In an e-mail
message to supporters ILS director Judy Ancel said,

“Late Friday afternoon at a meeting between UMKC
Chancellor Guy Bailey and Garry Kemp, Business Manager of the Greater Kansas
City Building & Construction Trades Council, and Missouri State Senators Victor
Callahan and Chris Koster, Chancellor Bailey announced he would not close the Institute for Labor Studies for now. He committed to
sit down with me to discuss a restructuring which will preserve what we have.
What we agree to will then be put in writing for approval by the labor
community.

“The struggle to save ILS isn't over, but I view this
as a great step forward and appreciate the Chancellor's willingness to engage in
further discussion about the future of labor education at UMKC.

“I also want to thank the hundreds of Kansas City labor
union leaders and members, UMKC faculty and students, the many members of the KC
community, and labor education supporters and scholars from across the country
for their letters to the Chancellor and their messages of support to me. I also
want to thank reporters at the Pitch, The Kansas City Star, EKC,
and Inside Higher Education for their timely and accurate coverage of the
issue.”